Key facts
- Aviva's share price has seen a 282% return for shareholders under CEO Amanda Blanc.
- Operating profit surged to £1.3bn, up from £1bn the prior year.
- The company divested from European markets, raising £8bn.
- Key acquisitions include Succession Wealth (£385m in 2022) and Probitas (£242m in 2024).
- The £3.7bn acquisition of Direct Line in December 2024 significantly boosted the company's position in the UK motor insurance market.
Aviva has experienced a remarkable turnaround under the leadership of CEO Amanda Blanc, with shareholders realizing a 282% return on their investment. The insurance giant, formed in 2000, had struggled with complexity and a declining share price under a series of previous chief executives.
Blanc, who took the helm in July 2020, implemented a strategy focused on divesting under-performing European markets, raising £8 billion. These funds were reinvested and returned to shareholders. She then concentrated on core markets in the UK, Ireland, and Canada, pursuing growth through strategic acquisitions.
Key acquisitions include Succession Wealth for £385 million in 2022 and Probitas for £242 million in 2024, which granted Aviva access to the Lloyd's of London market. The landmark £3.7 billion acquisition of Direct Line in December 2024 solidified Aviva's dominance in the UK motor insurance sector.
Overall operating profit surged to £1.3 billion, with general insurance premiums growing 29% to £8.1 billion and the wealth management arm jumping 32% to £7.6 billion. Aviva now serves 22 million UK customers.
Despite the successes, some challenges remain. Four of Aviva's sixteen funds received a red flag rating in February for failing to provide value. Furthermore, the rise of autonomous vehicles poses a long-term uncertainty for the motor insurance business.